Lessons and evaluation evidence from ten Single Regeneration Budget case studies Mid term report John Rhodes, Peter Tyler, Angela Brennan, Steve Stevens, Colin Warnock and Mónica Otero-García Department of Land Economy January 2002 Department for Transport, Local Government and the Regions: London This report is dedicated to the memory of John Rhodes 1941-2001. Department for Transport, Local Government and the Regions Eland House Bressenden Place London SW1E 5DU Telephone 020 7944 3000 Web site: http://www.detr.gov.uk/ © Queen’s Printer and Controller of Her Majesty’s Stationery Office, 2002 This publication, excluding any logos, may be reproduced free of charge in any format or medium for research, private study or for internal circulation within an organisation. This is subject to it being reproduced accurately and not used in a misleading context. The material must be acknowledged as Crown copyright and the title of the publication specified. 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January 2002 CONTENTS Preface 7 Executive summary 11 CHAPTER 1 The SRB programme in the development of regeneration policy 28 1.1 Introduction 28 1.2 The changing policy response in relation to the perceived regeneration problem 31 CHAPTER 2 Targeting social need 39 2.1 Introduction 39 2.2 Assessing the geographical variations in local need 39 2.3 Identifying the geographical distribution of SRB expenditure 41 2.4 Key findings 42 CHAPTER 3 Community involvement and community capacity building 46 3.1 The role of local communities in the SRB process 46 3.2 Community and voluntary organisations as lead partners in SRB partnerships 47 3.3 Community and voluntary sector involvement within the ten SRB Schemes 49 3.4 Community led regeneration – the Hangleton Knoll experience 51 3.5 Community groups and voluntary organisations as partners in SRB Schemes 54 3.6 Assessment of community involvement in the ten case studies 56 3.7 Evidence of changing community perceptions of their local area from MORI Surveys 57 3.8 Participation of black and minority ethnic communities in SRB funded schemes 60 3.9 Lessons of community and voluntary sector involvement in SRB 67 3.10 Further policy development for community involvement 72 CHAPTER 4 The role of the private sector 74 4.1 Introduction 74 4.2 Defining the private sector 74 4.3 Participation of the private sector in regeneration 75 4.4 The drivers for private sector involvement 76 4.5 Types of private sector organisation involved at partner level 78 4.6 Roles played by the private sector in regeneration 81 4.7 Motivations for private sector involvement and the extent of involvement 82 4.8 Benefits from private sector involvement 85 4.9 The limitations of private sector involvement in regeneration 87 4.10 Summary and lessons for future policy 88 CHAPTER 5 Reducing social exclusion: bending the mainstream 90 5.1 Introduction 90 5.2 Mainstream programme bending 91 5.3 Difficulties experienced by mainstream departments as partners of SRB regeneration schemes 95 5.4 Links with mainstream programmes 97 5.5 Conclusion 98 CHAPTER 6 Producing a good regeneration scheme: the role of partnership working 100 6.1 Introduction 100 6.2 Features associated with the attainment of good partnership working 102 6.3 The private sector as a lead partner 109 6.4 General conclusions on the factors that make for good partnership working 110 CHAPTER 7 Thematic issues 114 7.1 Introduction 114 7.2 The creation of enterprise 116 7.3 Building links between schools and the world of work 119 7.4 Community safety, reducing crime including drug abuse 120 7.5 Enhancing mainstream delivery in relation to employability, training and the environment 121 7.6 Promoting urban renaissance 122 7.7 Promoting rural regeneration 125 7.8 Small thematic schemes as a source of innovation 127 7.9 Overall strengths and weaknesses to emerge from the thematic schemes 128 7.10 Conclusions on key problems in maintaining the momentum achieved by thematic schemes 130 CHAPTER 8 Links between the physical, economic and social 132 8.1 Introduction 132 8.2 Combining the physical, economic and social: the evidence from the SRB case studies 136 8.3 Maintaining the momentum: ensuring sustainable outcomes across a broad front 139 CHAPTER 9 The measurement of short term cost effectiveness and the assessment of VFM over the longer term 144 9.1 Introduction 144 9.2 Case study gross outputs: indicators and definitions 148 9.3 Gross outputs and expenditure: measurement problems 149 9.4 Case study gross outputs 151 9.5 Outputs relating specifically to black and minority ethnic communities 155 9.6 Gross outputs: actuals compared with expected 155 9.7 Actual and expected expenditure 156 9.8 Gross to net: assessing additionality 158 9.9 Establishing value for money indicators 163 CHAPTER 10 Assessing the impact of regeneration outputs and outcomes: methodological and method issues 166 10.1 Introduction 166 10.2 Assessing the impact of regeneration schemes on outcomes 167 10.3 Obtaining the relevant information with which to assess the impact of regeneration schemes on outcomes: obtaining outcome data using social surveying 169 10.4 National comparator benchmark data 172 10.5 Interpreting the results from the SRB social surveys 172 10.6 Limitations of survey based approaches 173 10.7 Findings from the 1996 survey of SRB households 174 CHAPTER 11 Key changes in outcomes in three SRB estates 1996-1999 176 11.1 Introduction 176 11.2 Summary of main findings in the three SRB areas from the social household survey 177 11.3 Combining survey evidence on outcomes with net output data obtained from traditional evaluation approaches 191 Preface The Single Regeneration Budget Evaluation Unit In recognition of the need to assess the contribution which SRB has made to local area regeneration the DTLR commissioned an evaluation study based in the Department of Land Economy, University of Cambridge. It has been led by Dr Peter Tyler and John Rhodes assisted by Angela Brennan and Mónica Otero-García. The evaluation team are tracking the progress and achievements of twenty SRB case studies over a period of eight years. The evaluation team has also included Steve Stevens, Colin Warnock and Roger Tarling. The core research team has been assisted in the social survey aspects of the study by Mark Speed, Bobby Duffy and Rachel Williams from MORI. This study had three objectives. The first was to design a methodology with which to evaluate the process by which economic, social and physical regeneration was achieved through the activities of SRB. The second was to undertake an evaluation of the first and second rounds of the partnership programmes funded under SRB and thus establish the impact and cost effectiveness of the regeneration package. The third objective was to undertake an analysis of those bids and partnerships which sought funding under the auspices of the Single Regeneration Budget but which were unsuccessful. Since the research team began its work it has addressed a number of key research questions relating to the design, delivery and achievements of the SRB programme. The research approach has been such that through the use of local household surveys it has also been possible to learn more about the nature of the problems faced by those who suffer social exclusion at the local level and how Area-Based Initiatives in general can seek to tackle the problems that they face. Key research findings have been published in a number of Journal articles and Discussion Papers which are listed in Annex 6 of this Report. In 1998 the Team produced an evaluation of the Single Regeneration Budget at the interim stage which presented findings as to how the SRB partnership-based model of regeneration was working at the local level and what early achievements could be identified. This Report presents further findings relating to the regeneration achievements of SRB. Moreover, in this Mid Term Report it has proved possible to enhance the evidence base in relation to the programme by undertaking evaluations of ten case study SRB round one and round two partnerships as their activities drew to a close. The work was guided by a Steering Group from the Department for Transport, Local Government and the Regions (DTLR), formerly DETR, which comprised Paul Evans, Mike Gahagan, Judith Littlewood, Stephen Penlington (Nominated Officer 2001), Jane Todorovic (1998-2001), Lesley Smith (1995-1998), Gillian Smith, Sam Mason, Paul McCafferty, Stephen Aldridge, John Wallace, Debbie Butler and Fiona Cruickshank. Other members of the Steering Group included: Daniel Hulls (HM Treasury), Celia Dale (Home Office), Steve King (Department of Social Security), John Elliot (Department 7 Lessons and evaluation evidence from ten Single Regeneration Budget case studies for Education and Employment), David Andrews (Department of Trade and industry), Robert Smith (Assistant Director Housing & Regeneration – GOEM),Ralph Ward (Government